Title
Department of Transportation recommending the Board:
1) Approve an increase of $70,000 for a new not-to-exceed amount of $169,000 with Pacific Products and Services under Agreement 6003;
2) Authorize the Purchasing Agent to issue a purchase contract change order in the amount of $70,000 following Board approval; and
3) Authorize the Purchasing Agent to increase the purchase contract on an "as needed" basis during the term of the contract as long as funding is available within the requesting department's budget.
FUNDING: Road Fund. (100%)
Body
DISCUSSION / BACKGROUND
The Department of Transportation, Maintenance and Operations Division (Maintenance) requested Procurement and Contracts advertise a bid for sign posts and anchors in the Fall of 2021. Subsequently, Pacific Products and Services was the lowest responsible bidder of bid #22-570-003. Due to the bid under Purchasing Agent (PA) authority, the PA awarded the bid in the amount of $90,000. Historically, posts and anchors do not exceed $90,000 during a three-year purchase contract term. However, due to the Caldor Fire, an increase in post and anchor purchases was seen, ultimately exhausting the current purchase contract not-to-exceed amount. In May 2023, the purchase contract was increased by $9,000, for a new total of $99,000, to cover the remainder of the invoices for the Caldor Fire repairs. Maintenance is requesting to increase the not-to-exceed amount by $70,000 for the remainder of the purchase contract term, with a new not-to-exceed amount of $169,000, which exceeds PA authority.
ALTERNATIVES
The Board could choose not to approve the increase to the not-to-exceed amount for Agreement #6003. Transportation would need to cancel the current bid and re-bid the items even though the bid term does not expire until October 5, 2024.
PRIOR BOARD ACTION
N/A
OTHER DEPARTMENT / AGENCY INVOLVEMENT
N/A
CAO RECOMMENDATION / COMMENTS
Approve staff recommendation.
FINANCIAL IMPACT
Funding is available wi...
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